California Consumers Escape Arbitration In Data Breach Case – Law360


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Law360 (June 16, 2021, 5: 14 PM EDT) -- A federal judge is allowing California plaintiffs to break away from consolidated data breach lawsuits against an online sneaker retailer in Michigan, saying the company's mandatory arbitration clause is "unenforceable" in light of their call for public injunctive relief.

Citing McGill v. Citibank, U.S. District Judge Victoria A. Roberts ordered Tuesday that Michigan law should not apply in Laura Esquer's proposed class action against StockX over its 2019 data breach, because it is "contrary" to California's greater interest in protecting its consumers — particularly since the alleged violations are ongoing.

Esquer filed suit against StockX on behalf of Californians whose data...

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